News 2023.08.22
Glassdome, SK C&C, and Lotte Aluminium Initiate EU CBAM Compliance Project to Support Total Carbon Emission Management

By Glassdome

detail image

Seoul, South Korea (Aug 22, 2023) - Glassdome Inc., announced on August 22nd a collaborative project with Lotte Aluminium and SK C&C. This project focuses on implementing a real-time data-based ‘Glassdome Product Environmental Footprint’ solution, aligning with EU CBAM (Carbon Border Adjustment Mechanism) regulations. The EU mandate, effective from this year's fourth quarter, requires offshore companies exporting six key products – including aluminum, steel, and cement – to report their carbon emissions to the EU. 

Failure to comply with these regulations by the end of January next year will result in fines ranging from 10 to 50 euros per ton. Moreover, from 2026, additional tariffs based on carbon emissions will be introduced, expanding to include products like automobiles and organic chemicals. 

In this landscape, IT companies like Glassdome and SK C&C are emphasizing the importance of accuracy and reliability in carbon emissions data during product production. Non-compliance or unreliable data can lead to products being categorized as high-emission, low-end goods, thereby diminishing the exporting company's competitive edge due to punitive tariffs. 

Glassdome offers the 'Product Environmental Footprint (PEF)' solution, designed for effective carbon emissions management at aluminum and steel manufacturing sites. This world-first solution provides precise carbon emissions figures based on real data, featuring advanced digital conversion technology that ensures data integrity from the manufacturing floor to the cloud. 

A critical aspect of CBAM regulation compliance is calculating carbon emissions data from raw materials provided by suppliers. Glassdome's solution simplifies this process, allowing manufacturers to collect carbon data easily while safeguarding sensitive supplier information and encouraging voluntary partner participation. 

Furthermore, Glassdome and SK C&C are working towards solution certification with global agencies, aiming to support exporting companies and partners in navigating environmental regulations more smoothly. 

Jinki Ham, VP of Glassdome, highlighted the impact of CBAM on domestic exporters: “CBAM, essentially a trade tariff on high-carbon emission products, can significantly affect local aluminum and steel exporters. Glassdome’s timely CBAM solutions ensure domestic companies stay compliant with evolving regulations.” 

Seungmin Lee, Director of the ESG Strategy Division at Lotte Aluminium, commented on the project’s significance: “As carbon tariffs become a reality, reducing them through carbon-neutral activities is crucial. This CBAM solution project will help us lead the way in effective carbon management.”

Soo-in Bang, head of SK C&C's Digital ESG Group, added: “By merging our business expertise with digital technology, our digital net zero services will not only aid companies in fulfilling carbon emission reporting requirements but also support their long-term carbon reduction goals through customized solutions.”



More Articles